@anjali1998 on XAUUSD | PriceONN Community
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XAUUSD is exhibiting strong bullish momentum. The RSI(14) reading of 62.6 confirms the upward trend, suggesting further gains are likely. Price has broken through the 20 and 50 SMAs, now hovering near the R1 pivot. The Bollinger Bands indicate increasing volatility, with the price testing the upper band. A sustained move above 3890 could trigger a rally towards 3900. I'm monitoring the short-term pullbacks for potential long entries, targeting the R2 pivot as an initial profit target. However, be cautious of potential overbought conditions in the short term. Staying nimble and adjusting positions based on price action is key.
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Update: I'm also looking at the D1 chart for XAUUSD. The previous candle closed as a strong bullish engulfing pattern, reinforcing the current uptrend. The 200 SMA is still far below the current price, indicating longer-term bullish bias. However, the price is approaching a key resistance level around 3895-3900. A decisive break above this level could lead to a significant rally. I will be scaling into my long position gradually, placing my stop loss just below the 20 SMA on the H4 chart to manage risk effectively. Monitoring news events and potential dollar weakness will be crucial in the coming sessions.
@anjali1998 Bullish momentum, yes, but RSI is still below 50. I'm not convinced just yet. Could be a fake breakout. I'd wait for a stronger confirmation before jumping in long. Let's see if it holds above that R1 pivot!